Trading Update January 2019
Disclaimer The information contained in these The Presentation is being supplied to you solely for your the Financial Services and Markets Act 2000 (Financial Promotion) The Company is under no obligation to update or keep current information. The Presentation has been prepared by, and is the Order 2005 (S.I. 2005 (No 1529)) (as amended) (the “Financial the information contained in this Presentation or to correct any slides and communicated verbally to sole responsibility of Kape plc. (the “Company”) . The directors of Promotion Order”) made pursuant to section 21(5) of the FSMA: inaccuracies which may become apparent, and any opinions you, including the speech(es) of the the Company have taken all reasonable care to ensure that the Investment Professionals (as defined in Article 19(5)); and High expressed in it are subject to change without notice. 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Ourbusiness Who weare Our focus Our vision Digital marketing expertise Kape is a SaaS business focused on Kape owns, develops and acquires To provide online autonomy for a Kape’s proprietary technology the provision of cybersecurity software solutions for consumers enables it to leverage its digital secure and accessible personal products and SMEs in the cybersecurity space, distribution and online marketing digital life targeting users globally expertise to maximise ‘own’ product sales Kape in numbers c. 160 c. 400 9 Countries Employees Global Hubs 830k $ 56.4 million* $40.3 million* Premium Subscribers¹ Revenues 2018 Cash position at year end *unaudited as per trading update 15/01/2019 3
Highlights Financial highlights Operational highlights • Growing our SaaS revenue base: • Adjusted EBITDA* of $10.4 million (2017: $8.3 million), representing growth of 25% • Subscription retention rate c. 74% (2017:69%) • Premium Subscription users increased by 219% • Revenue of $56.4 million (2017: $66.4 million) reduced as a result of the divestment of the Media business • Launched CyberGhost 7.0 app and developed add-ons for Chrome and Firefox browsers • Revenues from the App Distribution segment $52.1 million increasing by 8% (2017: $48.2 million) • 830,000 paying subscribersglobally in over 160 countries (Dec 2017: 260,000) • Expect to deliver $30 million revenue from existing users in future • Acquisition of Intego in July 2018, a leading Mac and iOS cybersecurity and periods (June 2018: $18 million)** malware protection SaaS business, for $16.0 million • Acquisition of ZenMate in October 2018, a digital privacy company, for €4.8 million *The Adjusted EBITDA attributable to the Web apps and license division for 2018 is nil, (2017: $2.2 million); this division has been discontinued as of September 2017. Underlying Adjusted EBITDA from core activities, excluding the discontinued Web Apps and License division for 2018 is $4.3 million (H1 2017: $1.5 million) 4 **Calculated as expected revenues from first renewal of the existing user base in addition to the deferred revenue balance
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